Arkansas Code § 26-57-905 - Exemptions

The following shall be exempt from the tax levied by § 26-57-904:

(1) Syrups, simple syrups, powders or base products, or soft drinks sold to the United States Government;

(2) Syrups, simple syrups, powders or base products, or soft drinks exported from the State of Arkansas by a distributor, wholesaler, or manufacturer;

(3) Any powder or base product that is used in preparing coffee or tea;

(4) Any frozen concentrate or freeze-dried concentrate to which only water is added to produce a soft drink containing more than ten percent (10%) natural fruit juice or natural vegetable juice;

(5) Any soft drink containing more than ten percent (10%) natural fruit juice or natural vegetable juice;

(6) Syrups, simple syrups, powders or base products, or soft drinks sold by one distributor, wholesaler, or manufacturer to another distributor, wholesaler, or manufacturer who holds a license issued by the Director of the Department of Finance and Administration under the provisions of § 26-57-909 as a distributor, wholesaler, or manufacturer, provided that the license number of the distributor, wholesaler, or manufacturer to whom the soft drink is sold is clearly shown on the invoice for the sale which is claimed to be exempt. This exemption shall not apply to any sale to a retailer;

(7) Any product whether sold in liquid or powder form which is intended by the manufacturer for consumption by infants and which is commonly referred to as "infant formula";

(8) Any product whether sold in liquid or powder form which is intended by the manufacturer for use as a dietary supplement or for weight reduction;

(9) Water to which no flavoring, whether artificial or natural, or carbonation has been added;

(10) Any powder or other base product which is intended by the manufacturer to be sold and used for the purpose of domestically mixing soft drinks by the ultimate consumer; and

(11) Any product containing milk or milk products.

Section: Previous  26-57-902  26-57-903  26-57-904  26-57-905  26-57-906  26-57-907  26-57-908  26-57-909    Next

Last modified: November 15, 2016